Rental Car Reimbursement Coverage

[Jennifer Loomis]

I am wondering if anyone out there can relate or at least comment on my misgiving. My auto policy had a $40.00/day, with a monthly maximum of $1,200.00. In my mind, my policy should pay $1,200.00 for my rental car. I was given a really good deal on a convertible Mustang for $24.99/day. Unfortunately, I was in the rental car for 51 days (don't get me started). I feel my insurance company should have paid $1,200.00 towards my rental, but they didn't. They paid 30 days at $24.99/day! This makes no sense why they shouldn't pay the coverages maximum of $1,200.00. This actually seems like my insurance company is stealing from me. I would like to hear your opinions out there.

 

[Al3x Lee]

a monthly maximum of $1,200.00. I was in the rental car for 51 days. They paid 30 days at $24.99/day!

This actually seems like my insurance company is stealing from me.

*insurance company gives you exactly what's in the insurance contract* "OMG, my insurance company is literally stealing from me"

 

[adjusterjack]

My auto policy had a $40.00/day, with a monthly maximum of $1,200.00.

Well, I can almost guarantee that your policy doesn't say exactly that.

Please quote it word for word or upload a copy of the coverage part.

Meantime, the word "reimbursement" should speak volumes to you. It means that your insurance pays you for the amount you spend up to the number of days stated in the policy, which I suspect is 30 days, not month or monthly.

PS - If another driver was at fault, look to that driver's insurance for the balance of what you spent.

 

[Jennifer Loomis]

Hi Al3x Lee - This is a copy and paste from my claim:

Rental Reimbursement
$40 PER DAY $1200 MAXIMUM

 

[Al3x Lee]

Hi Al3x Lee - This is a copy and paste from my claim:

Rental Reimbursement
$40 PER DAY $1200 MAXIMUM

What's your policy say regarding rental coverage? Does it limit the coverage to 30 days?

 

[marindependent]

They paid 30 days at $24.99/day!

What did your agent say about this?

the word "reimbursement" should speak volumes to you.

Totally Agree

What's your policy say regarding rental coverage?

Exactly - get the contractual language out from your policy

 

[Jennifer Loomis]

My policy has two area where it explains the rental reimbursement coverage

1. If you buy Rental Reimbursement coverage, we will reimburse you for rental car charges incurred while your vehicle is being repaired. You can only buy Rental Reimbursement coverage if you buy Collision and Comprehensive. Rental Reimbursement coverage is limited to 30 days and subject to the maximum per day amount shown on your Declarations Page.

2. We will reimburse rental charges incurred when you rent an auto from a rental agency or auto repair shop due to a loss to a covered auto for which Rental Reimbursement Coverage has been purchased. This coverage applies only if you have purchased both Comprehensive Coverage and Collision Coverage for that covered auto and the loss is covered under one of those coverage.

Additional fees or charges for insurance, damage waivers, optional equipment, fuel, or accessories are not covered.

This coverage is limited to the each day limit shown on the declarations page for a maximum of 30 days.

 

[Al3x Lee]

Thanks for digging the details out of your policy, unfortunately, it's cut and dry. 30 days with a maximum of $40 a day.

You had the rental for 51 days, so 21 days will be not be reimbursed.

Unfortunately this language was written when most repairs were done in 30 days or less. Since COVID, it seems to take longer and be more expensive to get repairs

Rental Reimbursement coverage is limited to 30 days and subject to the maximum per day amount shown on your Declarations Page.

This coverage is limited to the each day limit shown on the declarations page for a maximum of 30 days.

 

[adjusterjack]

You had the rental for 51 days, so 21 days will be not be reimbursed.

Agree. The policy language is clear.

Unfortunately this language was written when most repairs were done in 30 days or less. Since COVID, it seems to take longer and be more expensive to get repairs

Long before Covid, even decades ago, I've seen rental reimbursement coverage written for 60 days. These days there may even be longer durations and higher daily limits available.

 

[Al3x Lee]

I'm guessing the carrier was Progressive